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SECTION 1. Subtitle C, Title
10, Government Code, is amended by adding Chapter 2116 to read as follows:
CHAPTER 2116. CONTROL OF
CONDITIONAL FEDERAL FUNDS
Section 2116.001.
DEFINITIONS. In this chapter:
(2) "Coercive
conditions" are conditions in coercive federal funding programs that
pertain to matters other than the manner in which the federal funds are to
be spent, such as conditions that pertain to how the state must spend its
own revenue, or that pertain to collateral
state policies.
(1) "Coercive federal
funding program" means a program under which the federal government
transfers funds to state agencies, or to
persons or local entities through state agencies, to which the
federal government has attached coercive conditions, provided that federal
programs that offer to return to the state a pro-rata share of the state
residents' tax contributions to the federal program if the state refuses to
comply with the conditions attached to such program, is not a coercive
federal funding program.
Section 2116.002.
COORDINATED MULTI-STATE REJECTION OF COERCIVE FEDERAL FUNDING PROGRAMS. (a)
The attorney general shall annually prepare a
comprehensive report to the legislature designating all the coercive
federal funding programs that deliver more than $100 million yearly to the
state,
and detailing the coercive
conditions therein.
(b)
Where feasible, the attorney general shall
sue to enjoin enforcement of coercive conditions in coercive federal
funding programs. In any case where the
federal government rejects a state plan or application for funds under a
coercive federal funding program, because of the state's refusal to comply
with any coercive condition, the attorney shall sue for relief.
(See Subsec. (c) below.)
(c) The governor shall work
with governors of other states to develop a coordinated approach with respect
to all such coercive federal funding programs.
(c) Agencies and officers of
the state shall implement all coercive federal funding programs without
regard to any conditions designated as coercive conditions under this
section. Applications for federal approval of state programs shall make no
reference to any coercive condition. This subsection shall go into effect
when a substantially similar requirement has been adopted in 20 other
states.
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SECTION 1. Subtitle C, Title
10, Government Code, is amended by adding Chapter 2116 to read as follows:
CHAPTER 2116. COERCIVE
CONDITIONS ON RECEIPT OF FEDERAL MONEY
Sec. 2116.001.
DEFINITIONS. In this chapter:
(1) "Coercive
condition" in relation to federal funding means a condition that is
placed on the receipt by this state or a
political subdivision of this state of federal money to be provided
under a federal program that requires:
(A) the amendment, enactment, or adoption of a state or local law,
regulation, or order the subject of which is unrelated to how the
money is to be spent; or
(B) a particular use of
state or local revenue.
(2) "Coercive
federal funding program" means a program that involves a transfer of
federal money to this state or a political
subdivision of this state by the federal government the receipt of
which is subject to a coercive condition. The term does not include a
federal program that returns to this state a pro-rata share of this state's
residents' total tax contributions to the program if this state refuses to
comply with the conditions attached to the program.
Sec. 2116.002.
IDENTIFICATION OF COERCIVE FEDERAL FUNDING PROGRAMS; REPORT. Not later than December 1 of each even-numbered
year, the attorney general and the
Legislative Budget Board jointly shall:
(1) identify each coercive federal funding program from which
this state received more than $100 million during
a state fiscal year in the preceding state fiscal biennium; and
(2) prepare and submit a
report to the legislature that lists the coercive federal funding programs
described by Subdivision (1) and the coercive conditions associated with
each of those programs.
Sec. 2116.003. SUIT TO
ENJOIN ENFORCEMENT OF OR TO CONTEST COERCIVE CONDITION. (a) The attorney
general may, to the extent authorized by law:
(1) bring an action to enjoin the enforcement of a coercive
condition and recover reasonable expenses
incurred in obtaining injunctive relief under this section; and
(2) sue for appropriate relief if the federal government:
(A) rejects a request by this state for a waiver of one or more
provisions of a coercive federal funding program identified under Section
2116.002; or
(B) attempts to condition the continued receipt of federal money
under an existing federal funding program on this state's expansion of that
funding program, if the legislature has determined that it is in this
state's best interest not to expand the funding program.
(b) During the pendency
of an action brought by the attorney general as authorized under this
section, a state agency or state officer, as applicable, shall apply for
and administer all programs that result in the receipt of federal money by
this state, including a coercive federal funding program, in a manner that
complies with federal law.
Sec. 2116.004. MULTISTATE RESPONSE TO COERCIVE FEDERAL FUNDING
PROGRAMS. The governor shall consult with the governors of other
states to develop a coordinated approach to issues relating to coercive
federal funding programs.
(See Subsec. (b) above.)
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SECTION 2. Section 751.001,
Subchapter A, Chapter 751, Title 7, Government Code, is amended by adding
subsection 5 to read as follows:
(5) "Coercive
federal funding program" and "coercive conditions" have the
meanings ascribed to them in Section 2116.001.
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SECTION 2. Section 751.001,
Government Code, is amended to read as follows:
Sec. 751.001. DEFINITIONS.
In this chapter:
(1) "Board" means
the Office of State-Federal Relations Advisory Policy Board.
(2) "Coercive
condition" has the meaning assigned by Section 2116.001.
(3) "Coercive
federal funding program" has the meaning assigned by Section 2116.001.
(4) [(2)]
"Director" means the director of the Office of State-Federal
Relations.
(5) [(3)]
"Office" means the Office of State-Federal Relations.
(6) [(4)]
"State agency" means a state board, commission, department,
institution, or officer having statewide jurisdiction, including a state
college or university.
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SECTION 3. Section 751.005,
Subchapter A, Chapter 751, Title 7, Government Code, is amended to read as
follows:
Sec. 751.005. GENERAL POWERS
AND DUTIES OF OFFICE. (a) The office shall exercise the powers and carry
out the duties prescribed by this section in order to act as a liaison from
the state to the federal government.
(b) The office shall:
(1) help coordinate state
and federal programs dealing with the same subject;
(2) inform the governor and
the legislature of federal programs that may be carried out in the state or
that affect state programs, with particular attention to programs that
may be coercive federal funding programs;
(3) provide federal agencies
and the United States Congress with information about state policy and
state conditions on matters that concern the federal government;
(4) provide the legislature
with information useful in measuring the effect of federal actions on the
state and local programs;
(5) prepare and supply to
the governor and all members of the legislature an annual report that:
(A) describes the office's
operations;
(B) contains the office's
priorities and strategies for the following year;
(C) details projects and
legislation pursued by the office;
(D) discusses issues in the
following congressional session of interest to this state; [and]
(E) contains an analysis of
federal funds availability and formulae;
(F) sets forth a
catalogue of all the conditions attached to federal funding programs, in a
format that clearly designates coercive conditions as such; and
(G) contains the office's
strategy for ensuring that the state regains
freedom of choice in fact with respect to coercive federal funding
programs, by resisting compliance with coercive conditions while
ensuring receipt of an equitable share of federal funds under such
programs;
(6) notify the governor, the
lieutenant governor, the speaker of the house of representatives, and the
legislative standing committees in each house with primary jurisdiction
over intergovernmental affairs of federal activities relevant to the state
and inform the Texas congressional delegation of state activities;
(7) conduct frequent
conference calls with the lieutenant governor and the speaker of the house
of representatives or their designees regarding state-federal relations and
programs;
(8) respond to requests for
information from the legislature, the United States Congress, and federal
agencies;
(9) coordinate with the
Legislative Budget Board regarding the effects of federal funding on the
state budget and the impact of coercive conditions on the state's
ability to remain responsive to the preferences of its residents; and
(10) report to, and on
request send appropriate representatives to appear before, the legislative
standing committees in each house with primary jurisdiction over
intergovernmental affairs.
(c) The office may maintain
office space at locations inside and outside the state as chosen by the
office.
(d) Repealed by Acts 2011,
82nd Leg., R.S., Ch. 1083, Sec. 25(63), eff. June 17, 2011.
(e)
The report required under Subsection (b)(5) must include an evaluation of
the performance of the office based on performance measures that are
developed by the board.
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SECTION 3. Section
751.005(b), Government Code, is amended to read as follows:
(b) The office shall:
(1) help coordinate state
and federal programs dealing with the same subject;
(2) inform the governor and
the legislature of federal programs that may be carried out in the state or
that affect state programs and identify which of those programs may be
defined as a coercive federal funding program;
(3) provide federal agencies
and the United States Congress with information about state policy and
state conditions on matters that concern the federal government;
(4) provide the legislature
with information useful in measuring the effect of federal actions on the
state and local programs;
(5) prepare and supply to
the governor and all members of the legislature an annual report that:
(A) describes the office's
operations;
(B) contains the office's
priorities and strategies for the following year;
(C) details projects and
legislation pursued by the office;
(D) discusses issues in the
following congressional session of interest to this state; [and]
(E) contains an analysis of
federal funds availability and formulae;
(F) lists all conditions
attached to federal funding programs, in a format that clearly identifies
each condition that may be a coercive condition; and
(G) contains the office's
strategy for ensuring that this state receives an equitable share of
federal money from all federal funding programs while resisting compliance
with coercive conditions;
(6) notify the governor, the
lieutenant governor, the speaker of the house of representatives, and the
legislative standing committees in each house with primary jurisdiction
over intergovernmental affairs of federal activities relevant to the state
and inform the Texas congressional delegation of state activities;
(7) conduct frequent
conference calls with the lieutenant governor and the speaker of the house
of representatives or their designees regarding state-federal relations and
programs;
(8) respond to requests for
information from the legislature, the United States Congress, and federal
agencies;
(9) coordinate with the
Legislative Budget Board regarding the effects of federal funding on the
state budget and the effect of coercive conditions on this state's
ability to remain responsive to the preferences of its residents; and
(10) report to, and on
request send appropriate representatives to appear before, the legislative
standing committees in each house with primary jurisdiction over intergovernmental
affairs.
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SECTION 4. Section 751.022,
Subchapter A, Chapter 751, Title 7, Government Code, is amended to read as
follows:
Sec. 751.022. POWERS AND
DUTIES. (a) The office has primary responsibility for monitoring,
coordinating, and reporting on the state's efforts to restore freedom of choice with respect to coercive
federal funding programs and ensure receipt of an equitable
share of federal formula funds.
(b) The office shall:
(1) serve as the state's
clearinghouse for information on federal formula funds and coercive
conditions attached thereto;
(2) prepare reports on
federal funds and earned federal formula funds;
(3) analyze proposed and
pending federal and state legislation to determine whether the legislation
would have a significant negative effect on the state's ability to maintain freedom of choice with respect to
coercive federal funding programs and [to] receive an
equitable share of federal formula funds;
(4) make recommendations for
coordination between state agencies and local governmental entities, between
state agencies and agencies of other states, and between state agencies,
particularly with respect to formulating
strategies for escaping restrictions imposed by coercive federal funding
programs; and
(5) adopt rules under the
rule-making procedures of the administrative procedure law, Chapter 2001,
Government Code, as necessary to carry out the responsibilities assigned by
this subchapter.
(c) The office shall
annually prepare a comprehensive report to the legislature on the
effectiveness of the state's efforts to escape
restrictions imposed by coercive federal funding programs and
ensure a receipt of an equitable share of federal formula funds for the
preceding federal fiscal year. The report must include:
(1) an executive summary
that provides an overview of the major findings and recommendations
included in the report;
(2) a comparative analysis
of the state's receipt of federal formula funds relative to other states,
prepared using the best available sources of data;
(3) an analysis of federal
formula funding trends that may have a significant effect on resources
available to the state; [and]
(4) recommendations as to what policies and programs
the state could implement if it were not subject to the restrictions
imposed by the ten largest coercive federal funding programs in the
state budget, and were able to receive an
equitable share of federal funding under such programs; and
(5) recommendations,
developed in consultation with the Legislative Budget Board, the Governor's
Office of Budget and Planning, and the comptroller, for any state
legislative or administrative action necessary to escape restrictions imposed by coercive federal
funding programs and increase the state's receipt of federal
formula funds.
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SECTION 4. Section 751.022,
Government Code, is amended to read as follows:
Sec. 751.022. POWERS AND
DUTIES.
(a) The office has primary
responsibility for monitoring, coordinating, and reporting on the state's
efforts to:
(1) ensure receipt of
an equitable share of federal formula funds; and
(2) resist compliance with coercive conditions placed
on federal formula funds.
(b) The office shall:
(1) serve as this [the]
state's clearinghouse for information on federal formula funds and on
the coercive conditions, if any, placed on those funds;
(2) prepare reports on
federal funds and earned federal formula funds;
(3) analyze proposed and
pending federal and state legislation to determine whether the legislation
would have a significant negative effect on the state's ability to receive
an equitable share of federal formula funds and to resist compliance with coercive conditions placed on federal
formula funds;
(4) make recommendations for
coordination, including the coordinated
resistance against compliance with coercive conditions placed on federal
formula funds, between:
(A) state agencies
and local governmental entities;
(B) [and between]
state agencies; and
(C) state agencies and
the agencies of other states; and
(5) adopt rules under the
rule-making procedures of the administrative procedure law, Chapter 2001,
Government Code, as necessary to carry out the responsibilities assigned by
this subchapter.
(c) The office shall
annually prepare a comprehensive report to the legislature on the
effectiveness of this [the] state's efforts to ensure a
receipt of an equitable share of federal formula funds and to resist compliance with coercive conditions
placed on federal formula funds for the preceding federal fiscal
year. The report must include:
(1) an executive summary
that provides an overview of the major findings and recommendations
included in the report;
(2) a comparative analysis
of the state's receipt of federal formula funds relative to other states,
prepared using the best available sources of data;
(3) an analysis of federal
formula funding trends that may have a significant effect on resources
available to the state; [and]
(4) an analysis of the effect that the conditions
imposed by the 10 coercive federal funding programs that have the
greatest effect on the state budget have on
the ability of this state and political subdivisions of this state to
implement policies and programs to deliver necessary and beneficial
services to residents of this state; and
(5) recommendations,
developed in consultation with the Legislative Budget Board, the Governor's
Office of Budget, [and] Planning, and Policy, and the
comptroller, for any state legislative or administrative action necessary
to increase this [the] state's receipt of federal formula
funds and to resist compliance with
coercive conditions placed on federal formula funds
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SECTION 5. EFFECTIVE DATE.
This Act takes effect immediately if it receives a vote of two-thirds of
all the members elected to each house, as provided by Section 39, Article
III, Texas Constitution. If this Act does not receive the vote necessary
for immediate effect, this Act takes effect September 1, 2011.
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SECTION 5. This Act takes
effect immediately if it receives a vote of two-thirds of all the members
elected to each house, as provided by Section 39, Article III, Texas
Constitution. If this Act does not receive the vote necessary for
immediate effect, this Act takes effect September 1, 2013.
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